GBP/CAD Down 13 Pips Over Past Hour, Makes Big Move Relative to Two Week Trend; Breaks Below 20 and 50 Day Averages

Hourly Update

(Last Updated January 21, 2021 15:40 GMT)

Currently, GBPCAD’s rate is down -13 pips (-0.08%) from the hour prior. This move is a reversal from the hour prior, which saw price move up. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 50 hour timeframe. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

GBPCAD End of Day Recap

Updated 00:30 GMT (04:30 EST)

GBPCAD entered today at 1.7254, down 106 pips (0.61%) from the previous day. Out of the 39 instruments in the Forex asset class, GBPCAD ended up ranking 30th for the day in terms of price change. Below is a price chart of GBPCAD.

GBPCAD

GBPCAD Technical Analysis

First things first: GBPCAD crossed below its 20 and 50 day moving averages yesterday. Volatility for GBPCAD has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. Price action traders in particular will want to note that the 14 day period appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 30 days GBPCAD’s price has gone up 16 them. Also, candlestick traders! Note we see pin bar pattern appearing here as well.